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tv   Countdown to the Closing Bell  FOX Business  November 12, 2012 3:00pm-4:00pm EST

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the dow jones industrial finds itself in the green. we have names like united technology, at&t, cisco, disney, and 3m. those are your leaders right then we have this, sandra on this story. two of the homebuilders reporting earnings this morning. as you can see, shares of beazer homes taking a big dive after a disappointing report. that stock is being hit today. shares also of dr horton are falling. even though the company beat earnings. the ceo warned about weak unemployment growth into next year and that will be hurting new home sales in his opinion. and everybody loves an underdog. and best buy looks to be turning the corner at least today. the company getting a boost after announcing their chief investment officer. and she's saying the company has big challenges but it is poised for a turnaround despite a rocky year. there's best buy for you on your screen. let's get to the floor show. we have traders standing by at the new york stock exchange, the cme group, and of course the nymex. first at the new york stock
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exchange, ben willis, happy veterans day to you. i think the word uncertainty has been used 50 times so far today. >> then i won't use the word uncertainty. i have to tell you not pleased that we're here on veteran's day, i think it is a little bit embarrassment we are open. but here we are. very low volume. very hard to read anything into the trading today. you mentioned some top stories coming in, the housing stocks, a favorite sector of the hedge funds in particular. but you have to keep in mind they are at the back end of their christmas season, if you will. a little bit dangerous place for investors to be. big picture i think we're kind of testing a low range of the bottom i have been calling for for quite a while. it was a little painful. i think we're near that point. if you are an individual investor, this is the time you need to have your shopping list and start adding to your cart. cheryl: with the homebuilders in particular, they were run up some of them 150% over the last
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year. when they make those dips, you do like sectors like that? >> yeah, but the housing sector was one of those great investing opportunities of a lifetime. the same thing that happened in the financial stocks back in the financial crisis. the housing stocking were the same -- the housing stocks were the same way. they threw the baby out with the bath water, still a lot of value to be had there, and as the market started to improve, as it were, it was a great place to invest. you have to realize there are some expectations that go in with earnings and what had happened. so some of the headline numbers may have looked good. you wonder why the stocks fell off. the fact of the matter is september is the christmas season for the housing industry. if they don't sell anything in september, they are not going to sell it again until february. so you start to see -- that's usual think professional money managers that are in these groups, that's the investing style. you will probably see them give up a little bit more as we go forward until we come into their selling season again. cheryl: that's an interesting take about the seasonality of it as well.
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let me go to cme. kevin we have a lot of economic data coming out later on in the week. ppi, cmi, things like that and also the fed minutes. what are you looking for? >> i think it will be important to see the strength of the economy. are we seeing any inflation creep in? i don't anticipate that we're really going to see that. but i think it's more than anything, it is going to be just tb strength -- it is going to be just the strength. are we starting to see quantitative easing giving us a bit of propulsion forward? that's what traders will be watching. again we have europe on the radar as well, what's going on over in greece with policymakers meeting, i think that could potentially drive treasuries a little bit as people come back to action tomorrow. cheryl: let me go over to the nymex. you know, john, obviously the story has been oil, but also we got this report out that, you know, really the united states is going to be the number one oil producer, in the next several years because of the technology of fracking.
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is that do you think a bullish tone for the markets? >> well, i think you want to look at, you know, both oil exporting countries and oil importing countries. if you look at the u.s., in the past always been a concern to equity risks in general. if you want to understand what the oil market has been this year and energy market in general, two key relationships. the first is between wti and brent. we have seen that thread work out to all-time highs. i believe right now december on december, is about $23. meaning the price of brent is $23 higher than price of wti. that can be explained by what came out of the report today. there's a shift taking place. obviously supply in the united states is at highs. and cheap oil in general is a very bullish thing for commodities. where cheap oil begins to become a problem like in 08 is if it's associated with weak economic growth. we need to keep that balance very close and watch that as we head throughout the week here. cheryl: john, one thing i will say as a caveat there is that the weather, which is always unpredictable looking like it is going to be a really rough winter, heating oil, things like that, are you making bets in
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those markets now? >> you know, it is funny because if you look at hurricane sandy and what it's done, i think short-term heating oil, reformulated gasoline, probably a bit of bearish component to some of the issues in terms of getting gasoline to new york city and other areas has really reconciled itself. if you want to take a look at crude in general, the energy space in general, net, net, there will be some problems the next 4 to 6 weeks. i tend to be bearish the s&p right now. cheryl: it's going to be a very interesting trading week. gentlemen, thanks to all of you. appreciate it. thanks for joining us on this veteran's day. my next guest is helping his clients balance portfolios in what he says is a very uncertain time. personal wealth advisors chairman is now here in a fox business exclusive. volatility, tim, it is all about volatility. you say get ready for the ride. >> i do. for a number of reasons, first we're now about to go through
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hopefully budget and deficit and fiscal cliff discussion which means anticipating how that might go knowing the tax rates are going up effective january 1st will cause many investors and business owners to be uncertain as they plan their future business plans going into 2013 and 14. cheryl: are you likening the pending fiscal cliff, the doom to the volatility we had in 2011? at that time we were having the debt ceiling debate. the markets took a huge hit for that. you are saying we may be in for another one. >> that's right. if you looked at the chart data for july and august of 2011, as you recall, the bond rating, the deficit, the debt no real movement at all. our clients were very concerned with the volatility. then looking at the charts say from september 15 probably to november 15, seeing the same thing occurring. you saw how the markets reacted after the election. continued uncertainty despite the president's comments and
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john boehner's comments. cheryl: we're looking at what we've been seeing over the last couple of months and you are saying kind of be prepared for that. a lot of the guests have come on and said you know, there's problems with earnings, but also you can't ignore that spike to the down side after the election. what did you make of all of that last week? what did you read into that? >> well, i mean, heading into the election, there was a lot of sentiment that the the market, the financial markets would have preferred a republican winner. cheryl: sure. fiscally more responsible if their view. -- in their view. >> correct. there's a few there's a lot of financial regulation presently and more to come. a lot of that at least from professional investors is probably where they were on wednesday. cheryl: they were waiting to see. >> i think that's going to settle off. i don't think you will see 300 point swings. you might see back again -- i'm quoting that period of july and august 2011, you could see 100, 150 on any given day, maybe a little bit outside the band, because this is going to be a very very difficult negotiation
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process. cheryl: if they can do a deal, say that it was kind of a 50/50 split, i mean what we have heard from boehner so far and the president, they sound like they are polar opposites still on what they want and don't want, what they are going to agree to. but if there was something where taxes were raised on say individuals making over a million dollars for instance and there was a short-term extension of the bush tax cuts, maybe a year, kind of a kick the can scenario, what would the market make of that? >> it would be is a positive reaction. you have already heard boehner say they are okay with the tax increases. they are okay with that. what they want to see is additional spending cuts. that's where this fell down in the summer of 2011. the spending cuts were not there. cheryl: some of those spending cuts we talked a lot about sequestration, obviously, the defense industry, you have seen a lot of pressure and concern about -- you looked at wednesday of last week and boom defense stocks selling off. medical device makers selling off. the bets were hedged. >> companies are already laying off employees starting september under the view that they were not going to have --
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cheryl: 1.7 trillion in cash on the side lines. what is it going to take for all of that cash to get back into the market? >> just a little bit of certainty. if the tax cuts go up and the sequestering commences, you are going to take 4% out of gdp starting in 2013. that's a big number. then you have to remember our trading partner countries. we're running surplus imports. okay? what does that do to them to give them confidence they can sell their goods and services here if you have now taken all that purchasing power out of the economy? it has very broad implications. cheryl: i think china is a big question mark there which is what you were talking about. we will see you in a bit. tim, great to have you on this holiday. appreciate you being here. >> thanks. cheryl: we're going to look at some sectors with him. closing bell ringing in 51 minutes from now. union workers paralyzing an already bankrupt hostess brands. the twinkie maker warning about plant closures putting the iconic brand in jeopardy as an attempt to claw its way out of
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bankruptcy. coming up, we will talk to the ceo of hostess brands, gregory rayburn in a fox business exclusive. having you ship my gifts couldn't be eaer.
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cheryl: power mover of the hour is titanium metals, the producer and seller of titanium products is skyrocketing on reports of an agreement to be acquired by precision castparts. look at this chart. i had to show this to you. it is hitting new 52 week high today. also taking a look at precision castparts, that stock as well. i hit smith and wesson, my apoll jis -- my apologies. there's titanium and precision castparts. my apologies to the big screen here. save me nicole petallides. she's on the floor of the new york stock exchange. nicole: smith and wesson is a great company too. it is good you showed that one. let's take a look at jc penney. a name that's come under significant pressure not only today, this year, but also the past couple of years, since 07.
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taking a look at three retailers all of which hit 52 week lows today. as we approach -- black friday is coming and holiday season is coming, and jc penney in particular says they are going to have 1100 stores opening at 6:00 a.m. on black friday and say it ain't so, they are going to have a sale. this is something that is now unheard of for jc penney once ron johnson came over from apple, he had a whole new mantra of great low prices and great quality all the time, but a lot of customers that were into coupons and sales didn't necessarily bite on that idea. three key names we know so well, all hitting 52 week lows. they have come up off the lows but key retailers to watch during a tough economy. back to you. cheryl: thank you very much. change in strategy for jcp. it is two weeks and counting of no power for residents of queens. a dire situation in the new york city burroughs as outraged residents are told they may not have power restored until after
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thanksgiving. liz macdonald has the latest on the lack of recovery. liz? liz: yeah, good to be with you cheryl. we're at st. francis church, which is basically a grassroots operation of both private sector businesses and the government in trying to help the people of belle harbor and far rock away. this is a community of first responders. what we're seeing here is we have some action going on. we have a tent being built. we are here with chris bernard with the merchant marines. he is going to tell us what's happening. >> right now we're setting up a tent to put all the donated items for all the people in the community to come and be able to claim stuff to help them get back on their feet. liz: are you worried about the weath weather? this seems like a race against time. it may rain tomorrow; right? >> that's one of our great concerns is all these donated items getting ruined but with the speed we are going, we will be able to have this tent up and running and be able to protect all the donated items.
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liz: this is command central; right? they are serving like 5,000 people, 10,000 people a day, food, donations, clothes. how long do you think this operation can go on because they are talking about not having power for the majority of the homes until after thanksgiving. >> well, right now it seems that they are getting a lot of generators up and running and being able to supply minimal power to some of the people that can sustain the power, without any electrical damage in their homes. liz: yeah, so that's the deal cheryl. can't have the power back in the homes because the salt water from the 7 foot tide basically fried the electrical boxes. it is taking the power company some time to get in the homes and get the boxes inspected. we are seeing a grassroots operation, again at the st. francis church, also giving out tetanus and hepatitis a shots is that right chris from inside the building? >> from what i understand that's correct. liz: because of the sewage that came up from the plumbing system. 7 foot wave from the ocean met the bay on the other side of
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peninsula cheryl. again we're seeing a warming center being constructed. navillus construction operation, the private sector, by the way sullivan is the owner, that's his name in reverse. we are seeing merchant marines right here trying to do a race against time to protect the donated goods for the people of belle harbor rock away. also cheryl worth pointing out today's the anniversary when that jumbo jet crashed in this same neighborhood two months after 9/11. a day for residents here, they are moving as fast as they can to protect themselves. cheryl? cheryl: thank you very much, liz macdonald. liz: sure. cheryl: well bankrupt twinkie maker hostess brands are even more trouble as thousands of its workers are on strike. dennis neal is talking with gregory rayburn.
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dennis: the ceo of hostess is here to announce they are now closing permanently three of the 36 plants as a direct result of this strike. thanks for joining us, mr. rayburn or greg. first of all, you have told me previously that you will shut down this entire company if the unions strike because you guys are trying to get out of this bankruptcy. are you sticking to that threat? >> well, you know, i've never said it as a threat. you know, i have always said it as a consequence. you know the business could not withstand any significant material work stoppage or strike. we said that our unions. our teamsters supports the plan. we have said if you go out on strike, we would likely have to wind down the business. >> you are closing plants permanently. are you doing this as retaliatory measure to show you mean business or does this mean you can't operate them? >> we don't have the manpower to cover all 36 bakeries. the bakers called for nationwide strike on friday. the reality is that we didn't get strikes at about a third of
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our plants. >> that's 12 that are okay. >> right. and then another two thirds had picket lines but at half of those enough bakers union employees crossed the picket lines to maintain normal operations. it is really down to a third of our plants and some critical plants where we are manning with management team and we don't have enough people to go around to keep all those running. dennis: now the 12 of the 36 plants where even though the bakers union said strike they are crossing the picket line. you told me teamsters the toughest union in the u.s. i think the teamsters are crossing picket lines at those plants as well? >> system wide the teamsters are not honoring the strike by the bakers because they understand clearly and they voted to accept the wage concessions because they understood clearly that failure to do so will mean 18,000 people out of work including teamsters bakers other unions and non-union employees. dennis: teamsters even giving on the health plan where the company had paid out 100 billion dollars over half of it went to retirees that never worked for hostess they were teamsters,
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then the company get stuck with bills with other people, the teamsters agreed, but then the bakers bolt. what are they counteroffering? >> we're not far apart because there's nothing being discussed. their leadership has not countered with anything. in fact they stopped returning our phone calls several weeks ago. the leadership has called from them yes to strike -- for the employees to strike. if you ask the employees why are you striking and what it is you want, maybe they tell they want a better deal. the reality is there's no way i can do a better deal for 30% of our workforce that's better than the 70% of the workforce is getting. that doesn't work. dennis: it's because they don't want to have to grant concessions to other companies that will now demand givebacks the way you are trying to get? >> i firmly believe that the bakers leadership is willing to sacrifice these 5,800 baker employees at hostess so they don't have to deal with these type of concession demands from
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other companies that employ bakers unions. otherwise there's no rationale to strike just to strike. i think they want to have the business liquidated and that tells me they really don't care about theee employees' jobs. dennis: we're about to wrap this thing. there are many of us in this country who love twinkies and wonder bread, what are the chances that hostess disappears? >> i think it is really up to those workers that are on the picket lines today that are not coming to work. if they decide in a very short order and i'm talking days, not weeks, to come back to work, then we have is a platform we can survive and exit f. they don't -- if they don't, i think it's highly unlikely we go forward as an operating concern. dennis: days not weeks and we find out the fate of hostess. ceo of hostess brands, thank you very much for being with us. we appreciate it. >> thank you. dennis: cheryl? cheryl: thank you very much. looking at the markets rite now as the closing -- looking at the markets right now, as the
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closing bell does get set to ring. dow 12,814. here's the president, he is going to be meeting with business leaders wednesday at the white house. he's going to try to enlist support for higher taxes on higher income ahead of his meeting with house speaker john boehner. charlie gasparino got his hands on a story, he reveals the names of who made the power list. that's next. before copd...
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s&p. russell 2000 lower by a fraction. let's take look at new lows today. dupont, hewlett-packard, sony, con ed we will be watching that company certainly. and molycorp., over the past week the stock is down about 30%. they had disappointing earnings release and news came out that the company is subject of an sec investigation regarding the accuracy of its regulatory filings. something the sec doesn't like you to mess with. ceos are going to the big fiscal cliff meeting at the white house. charlie gasparino has the list. >> this is a preliminary list. the final list is when they all show up. according to the preliminary list a lot of usual suspects, some people that were there the last time. remember the president spoke with i guess business leaders when he first got in 2008. that included a lot of bankers. i believe jamie dimon was at that gathering. jamie dimon is not at this
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gathering. the closest thing you have to a banker the ceo of american 3 express is theree john rogers. we should point out the others are ceo s of: >> they are also worried about the debt problem. we have 16 billion dollars in debt -- excuse me, 16 trillion dollars. we wish it was billion. 16 trillion and growing. and so that's what this is all
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wrapped up on. again the list is kind of usual suspects. jeffrey immelt, somewhat interesting in the sense that behind the scenes he told friends and we were first to report this that he was actually supporting mitt romney. as you know ge gets a lot of perks if the obama administration wins, solar, green energy and stuff, he's the chairman of president jobs council, he's going to be at this thing. sort of the leader of wall street if we had a spokesman would obviously be dimon. dimon was extremely critical of the president, particularly behind the scenes. he basically told people because he's on the federal reserve board, he does not give, you know, in kind contributions but i mean all his body movement was like do whatever you can to elect mitt romney. this guy is bad for business based on dodd frank and some of the other things that the president has done. so jamie is not on the list. like i said the closest you've got is the gentleman from
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american express. this thing is going to occur wednesday. as we know, there's what, how many days left before the fiscal cliff hits, i thought i saw some graphic that said -- cheryl: there's a countdown, a calendar. >> why is the fiscal cliff a big thing? why does wall street, big business don't like it? they don't like it because probably if it happens, you are going to go into recession if all the cuts kick in. i will say this, this is the sort of negative about this meeting. it is all big business leaders, meeting with the unions first tomorrow. corporate america, like big-time corporate america the next day. when is he going to meet with small businesses? because remember the president's tax plan -- cheryl: 49 days. >> it calls for increasing on people making 250 and above. those are families. those are small businesses. they file as individuals. you know, they get hammered. you know, what does jeff immelt care if you raise his taxes from the current rate a few more and kick -- he make as lot of money -- he makes a lot of
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money. small businesses are not represented in this debate, at least as far as i can see. we will have the complete list as it is now. i guess the preliminary complete list on fox business.com. i wrote a story. it should be up momentarily. might be up there now. cheryl: charlie, thank you very much we appreciate it. closing bell is going to ring in 28 minutes. shares of apple in the red again today as the stocc dips further into bear market territory. but is this simply a buying opportunity? coming up, morningstar tells us why he's keeping his buy rating and upping his price target. hmmmm. new pink lemonade 5-hour energy?
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that appears on your screen. robert: i'm robert gray with your fox business brief. wall street continues searching for direction with less than half hour left in this trading day. right now the dow jones industrial average down just -- well actually just turning positive, up 8 points. the s&p slightly higher. checking gold is moving lower. you saw the nasdaq down as well. meanwhile, a jury has cleared the former co managers of the reserve primary mutual fund of fraud. the fund's value -- during the 08 financial crisis, it fell under the $1 a share value that is seeked to maintain. this in turn sparked panic. the jury did find bent jr. liable on one claim of
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negligence. and in the wake of hurricane sandy, fitch has cut the long island power authority's credit rating outlook to a negative. utility still has thousands of customers left without power. fitch is concerned it won't be able to absorb the cost of the storm with its high leverage and already tight finances. now we continue our countdown to the closing bell with cheryl casone. cheryl: all right. robert, thank you very much. all right, the dow is now comfortably 8 points into positive territory. nicole petallides standing by again on the floor of the new york stock exchange. we have this low volume, but i have to tell you, nicole, it is nice we're not getting massive volatile moves today. that's always a concern on days like today. nicole: that's true. you know, the day is not over yet. we will see. still have about 22 minutes left of trading. i'm keeping a close eye on research in motion t blackberry maker -- the blackberry maker. the blackberry 10 this is what everybody had been waiting for,
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mark your calendars, january 30th. it feels like a lifetime for them to get one product out. it's certainly the long-waited product. -- the long-awaited product. the question is when will it be available in stores? that hasn't been released. when you talk to analysts, a majority of them, 90% of them either have a hold or a sell, right? only 10% have a buy rating on this stock. you may rememmer that research in motion was flying high. this was over 140 bucks back in 2008. this is $140 stock. so now you're seeing it you know around 8, 9 dollars. so obviously shareholders not happy and they have a lot in that one basket for this blackberry 10. back to you. cheryl: one of the reasons is going to be the focus of my next segment, nicole petallides. thank you. that is called a great transition. despite successful iphone 5 and ipad mini launches, shares of apple, they have stunk about 20%
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off their all-time highs and dipped into bear market territory. what is behind the tech giant's fall? is now the time to buy the stock? joining me now morningstar equity analyst brian colello. let's talk about this. you have a stock that analysts were saying it is going to be 700, 1,000, 1100, what happened? >> few factors. the first is pure profit taking. it is still up 35% year to date. you might have money managers taking profits right now. especially if you're concerned about fiscal cliff. especially if you're concerned about capital gains taxes things like that. as portfolio managers want to shed some of their holdings, they will shed some of their largest holding or their biggest winner and apple has been both. we think that's part of it. we're hearing more and more concern that apple has lost its touch. the management shake up kind of adds fuel to that fire. apple maps has been a bit of an issue. we think there is an investor concern right there. the reason why it didn't pop
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back after earnings is gross margin guidance for the up coming quarter -- cheryl: let me stop you. you mentioned what happened with the management shake up, that happened in the middle of the hurricane. that was kind of questionable timing. but, you know, the head of the retail stores has been in the job 7 months. is this new reality for apple, these knee-jerk reactions, many investors got very nervous when he made that move and took two people out of their jobs immediately? >> sure, well, i think ultimately whether the management team -- whether that shake-up is successful or not, it will come down to the products. apple will continually need to improve upon its products, the 5 s, the 6, the ios 7, if they come out as great products and can beat competition, i think the shake up makes sense. if these products still continue -- some may think they look stale, if that's an issue, then it probably was a wrong move. i think it will become pretty obvious fairly quickly whether
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it will work out or not. cheryl: here's one of the things that happened with regards to apple. that was samsung came along. and there was a lag between iphone 4s and the actual iphone 5. it seemed that really hurt them, brian, with consumers and many more went to the galaxy which is now for the first time outselling them volume wise, anyway. so i mean you've got to be a little bit nervous about the samsung issue. >> i think they did a good job of taking advantage of that window, when the 4s in the spring was still 3g device with 3 1/2 inch screen. samsung 4.8 inches had 4g lte. the iphone takes care of some of those problems t 4g phone and bigger screen. i think it will be interesting to see what samsung does next to take care of the iphone 5. the 4g network is here to stay. no chance to upgrade on that feature. 4.8 inch screen, it is hard to make that bigger without making it a tablet.
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i'm curious to see what samsung does next. cheryl: you have screens so similar in size, the bigger screen on the samsung. along comes apple with the ipad mini. it's priced at 329 or so which some say was a little expensive. this is something steve jobs never wanted to do. he did not want to do an ipad mini. do you think that steve jobs' vision is still happening at this company? >> i think ultimately it still is. i think tim cook is a little more i would say rational in terms of not -- he's not as steadfast to his beliefs that perhaps steve jobs was. steve jobs talked a lot about not having a 7 inch screen. tim cook is seeing an opportunity for a smaller mini and going along with it. i think it is becoming his company which i think has to happen after steve jobs' unfortunate passing. i think you are seeing it the company sort of come under tim cook's wing a little bit more.
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cheryl: over the weekend apple and htc settled their lawsuits. what do you think happens? we don't know the details. do you think it's possible that htc is going to be paying on the patents to apple? >> i think that's a likely scenario. you know, again, the terms were not disclosed, but if you hear about the initial payments that apple wanted the android phone makers to pay to apple for some of the patents and things like that, apple does have innovation, a lot of software and features and things like that, i think it is likely htc will be paying apple a -- i don't know if it's a large amount or small amount, that remains to be seen, but i think htc will be paying apple something seeing that apple is so big that it probably won't move the needle on apple's fair value very much. but certainly we're happy with this sort of resolution to these factors, legal is expensive and distract sog we like to see that -- distracting so we like to see that get settled. >> brian colello, thank you very much, from morningstar. >> thank you.
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cheryl: the closing bell rings, we have 14 minutes to go. you already heard where he sees the markets heading, but coming up, the personal wealth advisor's chairman has 1 billion dollars in assets under management, he's going to tell you which sectors you should be putting your money into right now. don't miss it. ♪
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cheryl: more breaking news on fox business.
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want to update you on a story. some problems at the new york stock exchange with more than 200 companies trading from the floor. nicole petallides joins me now with an update. nicole: this started shortly after the open this morning and now going into the closing bell, we're getting more details about 216 symbols that were affected because of matching engine issues which basically stepped in place of order processing and trade execution and now we're being told by the nyse according to their market status that these 216 symbols which include names like united health and travellers and cvs care mark will not be available, won't resume trading today here. they have been trading outside of the new york stock exchange in a normal fashion and that's one of the other exchanges earlier today said they were doing self help against the nyse and suspended routing orders to the nyse for this. this is not good news. it is something they can make it through and tomorrow they say this is very important the new
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york stock exchange and this is their quote anticipate a normal trading day in all securities for tomorrow. but when you talk to traders, some seemed not -- feel like it's less of a big deal while others say it is a really big deal to not have these names on the close. it obviously affects volume and it affects obviously business right and what you think and believe to be what your close should be and why isn't it closing here on the floor of the stock exchange. back to you. cheryl: you don't know who wanted to make a move in one of those 216 names today. they have been basically shut out. i think it is a big deal. nicole thank you very much. we will see you in about 9 minutes. eisner personal wealth advisors chairman is back. he has a closer look at some sectors he thinks you should be putting money into. it is almost two week anniversary of hurricane sandy. you have specific sectors you are watching based on that. >> absolutely. cheryl: what do you like? >> there's going to be a big resurge if you will of
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deliveries in many things not done, including oil deliveries and general trade and commerce, including both rail, truck transport, air flights. a a lot of air flights cancelled the week of october 31. cheryl: do you think that these names will improve then? because the airlines for a fact are -- [inaudible]. >> that's a little different because some airline is optional, meaning travel. whereby delivery of goods and services is different. we are talking citrus, just all kinds of things. i think it will be a good quarter for that. i'm sorry, i was also going to say -- what i call info com, information technology, mobile phone devices, computers, laptops, notebooks, coming in the christmas season. there's an undersupply at apple, once they are able to come back with a lot of their products -- cheryl: all affected by the storm? you have 25% of the nation's population that was ddrectly affected by sandy. >> yeah. cheryl: the other story has been the utilities. >> yes, of course. cheryl: we're looking at
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potential investigationings. -- investigations. we're looking at governor cuomo. >> that's right. cheryl: there seems to be a lot of backlash about that sector. does that concern you? >> it would. certainly some of the names here in new york that we know of where there's been public governmental statements about commencing investigations, not so much in other parts of the united states. we have talked about, you and i before, utility companies generally, as far as -- cheryl: which are normally great investments. they pay dividends. they are safe. everybody needs the power on. >> personally i think looking at that sector around energy and so forth, have to be a bit more thoughtful on maybe avoiding certain positions. cheryl: get really specific within those names. you know, on the other side, this could kind of change -- i mean, these are basically monopolies. >> correct. cheryl: which makes them nice as an investor but there could be maybe some more diversification coming into the group, in a good way, some new players. >> yeah. cheryl: do you think that could
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happen? >> i do think that could happen. as a matter of fact i think what could come out of this is a concept with two of the names i'm thinking of actually you know encouraging or having more competition in that space or in certain municipal areas because it was just so -- i mean, you only had two or three really running the whole show. cheryl: right. >> there's a third one i'm thinking of in northern new jersey. they are the only ones. so therefore opening it up could be a very good thing. cheryl: we use a lot of power especially in times square. >> yes. cheryl: tim, thank you very much. happy veterans day to you. thanks for coming in on the holiday. >> thank you. cheryl: the closing bell is going to ring in about 5 1/2 minutes. coming up, we will tell you about a web company having a nice trip in today's session. it got an upgrade.
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he loves risk. but whether he's climbing everest, scuba diving the great barrier reef with sharks, or jumping into the marke he goes with people he trusts, which is why he trades with a company that doesn't nickel and dime him with hidden fees. so he can worry about other things, like what the market is doing and being ready, no matter what happens, which isn't rocket science. it's just common sense, from td ameritrade.
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>> and your one-stop today's tripadvisor. an upgrade from an overweight from a morgan stanley analyst pointing out third-quarter hotel growth was a solid 30% higher year-over-year. it is up more than 2%, but over the last year to date this stock is up 36%, so there you go, tripadvisor. that is it for me, but i will send it over to david asman and sandra smith. david: thank you very much. we have sandra smith in for liz claman. good to see you. nicole petallides on the floor of the new york stock exchange. we have to emphasize no bond
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trading today, it is a slow day, not a lot of market activity but look at the vix. last time i looked at was down about 9%. all that volatility kind of being squeezed out of the system after the election, right? nicole: on the one hand the volatility concern has passed, but now there is fiscal cliff worry. the uncertainty still remains a certain extent. sandra: jcpenney continues to be a big story hitting a new low. investors are not running from their strategy, they are still sticking to it. nicole: jcpenney had this strategy, no sales, no coupons, they're actually going to do one on black friday. the big picture is this stock has been a big loser since 2008. david: an unusual case for apple, just can't seem to get a break, can it?

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